When asked what investors would learn from the current crisis, Jeremy Grantham (renowned institutional investor) remarked, “In the short term a lot. In the medium term a little. In the long term, nothing at all. That is the historical precedent.”
James Montier, Societe General, June 18, 2009
“As bad as the past decade has been, there have been other ten-year periods during which stocks have recorded even bigger losses. Yet over 20 years or longer, stocks have never lost money, even after inflation. Including the latest bear market, stock returns have averaged 7.80% per year over the past 20 years and 11% annually over the past 30 years.”
Jeremy Seigel, Kiplinger.com, July 23, 2009
“Those looking for the economic numbers to validate the market’s move or for corporate executives to express optimism about the outlook are likely to continue to be disappointed. Economic numbers report the past, and corporations observe the present, while the market lives for the future. Corporations always express the most optimism about the outlook at the top, and the most pessimism at the bottom. Markets are about expectations, and expectations are about the future are improving, on balance, and so are the markets.”
Bill Miller, 2nd Quarter Commentary, leggmason.com, July 19, 2009
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Gratitude with Purpose
Originally published at www.whitefieldconsulting.com/wordpress
November 23, 2009
Written by Debra Kunz, Strategic Life Planning Director for Integrity Investment Advisors
Giving and gratitude are at the top of our minds during the holidays. I wonder what happens to those feelings and intentions the rest of the year?
Being thankful for all that you have, all that you are and all that you will become sets a course for a joyful life; One that feeds your soul, directs your decisions, and creates abundance. YOU define what abundance you want in your life, and in what category.
Money is usually on that list. Though I ask you – what for? What would you do if you had all the money you could possibly need in your life?
Most people say – “whatever I want.” True. Though look beyond that. What would your purpose become? You might say you work for income and if you had all the money you needed, that worry would be removed. Consider that for a second – because that thought means your current purpose is to earn income. Is that it? That’s your purpose?
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The stock market is like a hamster in a wheel this month – going nowhere fast. However, this is not a bad thing. It is the holiday season and many investors are on the sidelines resting, just like many of us after a big Christmas dinner. That being said, there is some good news to report.
- FedEx CEO reported that the U.S. economy has reached a “turning point,” and the company saw a 17% increase in shipping on its peak day versus last year. As a result of what it considers positive economic signs, FedEx is reinstating some employee benefits that were suspended over the past year.
- Both Nike (athletic apparel) and Oracle (software) both reported that they are seeing positive signs for their products going forward.
- Retailers, thus far, are reporting decent sales this month. This is based partly on them not overstocking their shelves and resorting to “deep” holiday discounts. In addition, the weather has been good overall.
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This week I read an article in the Wall Street Journal regarding people defaulting on their “American Dream” of home ownership and then turning around and renting as a result. Yes, it is sad that many individuals lost their home during the housing bust / great recession. However, the truly sad part is what some of these people will say in a national publication about their irresponsible / immoral behavior, and gloat about it. Read more
I am taking a break from inundating you with market and economic news to touch base on a subject that I believe is just as, if not more important, to your financial, emotional and physical health.
We all know who Tiger Woods is and now we know that he is not perfect. However, unlike you and me, his mistakes are front page, Internet and TV news. Honestly, it is quite hard for me to understand how someone with his talent, and net worth and supposedly picture-perfect family, could do things that would jeopardize all of it. Ironically, the Nike “Just Do It!” theme may have been Tiger’s problem.
Tiger’s transgressions are now open to public scrutiny, and he is forced to address them. Whereas our transgressions are private and many of us don’t want to share them out of embarrassment or guilt.
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